tv After the Bell FOX Business January 27, 2021 4:00pm-5:01pm EST
funds. it is interesting to watch. you know, more power to them i guess. [closing bell rings] in terms of what you want to buy, i would point to facebook particularly weak q1 guidance. i think there is good there despite regulatory issues. liz: thank you. that will do it for us, selloff on wall street. >> yes indeed a big down day for the equity market. gerry: the dow is down for the fifth straight trading day. nasdaq is down second day in a
row. on deck this hour some of the biggest names in technology set to report quarterly results, apple, facebook, tesla, expected any moment. i'm gerry baker. i'm in for connell mcshane. welcome to "after the bell." time for the news happening at this hour. fox business team coverage. edward lawrence in washington with the latest from jerome powell and the federal reserve, lauren simonetti standing by for earnings this hour, and grady trimble in illinois with new details on the vaccine rollout. today we start with our panel, lance ulanoff, are carlton english from "barron's" and dion rabouin from axios. let me start with you, if i may. we're waiting for tech giants any minute now. what are you looking out for? >> i'm obviously looking at apple. i'm very interesting to hear how the iphone 12 has done. we're all expecting them to have an incredible quarter. this is traditionally their
biggest quarter. even with the pandemic and even with shuffling around they developed their production schedule and delivering phones at different times i still think it will be a very good year. people are excited about the iphone 12. i have a sense they have trouble keeping up with demand. that is a really big deal. we want to know what the service business looks likes that is actually maybe apple's most important play especially going forward as the iphone market flattens out. you know, i'm looking at all the other guys. i'm looking at facebook which seems impervious to whatever goes on around it. we have incredible mobile ad business i don't think in fact, probably the pandemic helped it, because people were really connecting through facebook, maybe more than ever. then, you know on the tesla side, i'm really interested in what is the richest man in the world up to now? he has done really well. he touted that they did over 500,000 teslas, production teslas, before the end of 2020.
and i think that they're doing really well. i think that they are proving that people are really excited and interested in switching over to electric cars, especially on their platform and built out infrastructure. gerry: thanks, lance. that is a very good summary. we'll be back with you and the rest of the panel shortly. meantime the other big story the last couple days feeling the short squeeze. gamestop has been continuing a extraordinary surge, forcing hedge fund melvin capital to close out its short position on the stock. the viral surge on gamestop, amc, express, thanks to two million user reddit forum called wall street bets. however trading platform td ameritrade is holding trades on gamestop and amc for 30 days citing risk concerns. carlton, this is extraordinary thing, are people power moving these stocks and hitting hedge funds what is going on?
>> it is really interesting what is happening especially targeting the short sellers. short sellers come under fire a lot betting against the company. sometimes the more virtuous interpretation what they do expose frauds. populist uprising in short sellers is really interesting. what is getting me, gamestop a mall retailer kind of left for dead a year ago, at one point today, as i hesitate saying numbers, they have been moving so fast had a valuation worth more than 40% of the s&p 500. i have seen a lot of short squeezes in my career. i have never seen one quite like this. gerry: jonathan, i see something today across the wires that the administration was looking at the situation. this is a pretty extraordinary situation for a new esec chair. is this something the regulators will want to look at? it seems like a regular short squeeze. as carollton said, carried out
by people we're not used to seeing. >> this is an old game we've seen many times before. 10 and 15 years ago, was just the "raging bull" message boards and others. we've seen this story before. basically shorts getting burned. so our viewers understand essentially when a stock is heavily short, when professionals others bet against the stock it goes up, they're forced to cover those shares, that pushes the stock even higher. look at these types of moves up 100, 200 percent in heavily shorted stocks. this is only type of move that could happen in bull market. you wouldn't have seen this in 2008 and 2009 in the depths after bear market. there is lot of easy money flying out. they're risky stocks getting major types of boosts higher. gerry: jonathan, do you think, again do you think we might see some investigation into this, some efforts by the authorities to look at this and maybe to question whether you can get this kind of movement like this? we've already seen the implications for melvin and
perhaps for others too. is there going to be, does it raise regulator issues? >> without question. you saw the circuit breakers already installed by the sec to try to limit the volatility given types of moves with the sec chair around amount of individual investors without participating in the markets, you will see a lot of investigations and regulatory inquiry into this move, no questions asked. gerry: thank you both. we'll talk again i'm sure more about that later in the show. the federal reserve meanwhile has been holding rates again near zero edward lawrence is live in washington with the details. reporter: federal reserve chairman jerome powell said he will not weigh in on the activities in the market. he would not comment on the gamestop phenomenon. he did say there is pent-up demand out there and he expects consumers to spend in force when the pandemic is behind us. people are buying homes in massive numbers because of the low interest rates. home prices surged over the past
year but the fed chairman says this is not a bubble but a passing event. >> there is a one-time thing happening with people who are spending all of their time in their house and they're thinking i need a bigger house or another house or different house or second house in some cases there is one-time shift in demand we think will get satisfied. that will call for supply. reporter: questioning houses prices. the fed statement reiterated interest rates will not change and the fed will continue to increase the balance sheet at the current rate. a statement also saying the path ever the economy will follow the virus and progress of the vaccine. >> but we're just not going to be able to get that last group of people back to work. it's a big group of people until we get the pandemic behind us. we have not won this yet. reporter: the first time the fed was talking about vaccine as part of the progress for the economy.
the federal reserve raised the importance of climate change over the past six months. it has been a focus now of the biden administration over the past week, that they have been in. fed chairman has not officially met with the new treasury secretary janet yellen or the president yet. gerry? gerry: thank you very much, edward. "fox business alert." we have now looks like we're getting facebook, facebook's fourth quarter results. let's go to lauren simonetti with the numbers. lauren. reporter: gerry, this is the first social media company to report and a beat on all accounts but the stock is responding negatively. let me explain. let's go through the numbers. eps $3.88 a share. better than expected, a rise more than 25% annually. revenue could be a record here at 28.07 billion, fueled by holiday shopping and people staying at home during the pandemic. monthly active users up 12% year-over-year. 2.8 billion daily active users.
1.84 billion, up 11% year-over-year. all of these metrics, stronger than the street was expecting but look at that stock reaction. down 5%. this is a stock that has been down for the past month, down again right now. what i can see is, facebook is saying, this is a quote, we expect year-over-year growth in total revenue to remain stable or modestly accelerate sequentially in the first and second quarters in 2021. they're not raising forecasts or not offering a bullish out look for 2021. at least not as far as we can see here, gerry. gerry: let's bring back our panel to go through the first numbers we got, the facebook numbers. as lauren said, beats on eps, earnings per share and on revenues, monthly active users which is a big metric for them obviously. seemed pretty good too. the stock is down. that seems to be on guidance lauren was talking about. carollton, what is your view
about that? >> lot of hope of advertising that the economy rioing. this is pushing e-commerce and how people use instagram. people were expecting that to kind of kick off the e-commerce, shopping, things like that. so for facebook not to be giving strong guidance there that is probably worrying investors what is going on with the stock. gerry: dion, do you think that's right do you think there is concern about facebook going forward? how much could be tied to continuing concerns about the regulatory crackdown and legal crackdown might be on facebook? >> i don't think there is a whole lot of concern about that from investors. facebook has clearly been in the cross-hairs of regulators and state attorneys general for quite some time and it hasn't really weighed on the stock. same situation for google which managed to deliver solid stock results so i don't think it is that. i think it is outlook. it is all about outlook right
now, investors are looking through the pandemic and looking through the current climate, what are q2, q3, what are the end of 2021 going to bring us. what they want for all these companies, because facebook relies a lot on local ad revenue way some other "fang" stocks don't. they want facebook to say we'll jump out of the box. this stock has been down, not down, but steady for a while. it was a high-flyer for quite sometime, hasn't gotten back to that status. investors want more guidance. i think investors were just looking for more me. gerry: lance, that, as dion says fits in with the uncertainty still about the economy next six months. the market had a mays amazing run that the economy will bounce back with the vaccines. we heard slightly bearish note from jerome powell, from federal reserve, a little uncertainty on vaccine rollout and effect on
the economy. do you think that is partly weighing on the investor response to facebook numbers? >> like a tale of two facebooks. you have the facebook that the users know. everything else on the outside, earnings and uncertainty, regulation, all of that is white noise to them. i get on every day, i connect, that is drives growth and earnings there is other side of it uncertainty around regulation. we have a brand new administration may look at technology differently. if anyone thinks the biden administration is free pass, we love technology. that is not the case. they will be looking pretty hard at facebook. facebook is going into this year, obviously the pandemic creates uncertainty, but i think it is really what is the regulation what could happen on the monopoly side. also things when they make a mistake, say whatsapp will have big change of terms of service and everybody starts leaving it, when those kinds of things
happen how do they steer through it. gerry: and jonathan, do you think, looking at niece numbers. we'll obviously get google alphabet next week. these two companies are taking lion's share of digital advertising. there doesn't seem a letup in that trend. looking at these numbers, what do you think of the future for facebook despite this immediate reaction after the bell does still look pretty bright assuming they get beyond the regulatory issues, right? >> so important, gerry. as goes facebook, as goes apple, microsoft, so goes the economy and certainly goes the market. we're kind of seeing differ rent ages. microsoft blew the doors off, all-time high in earnings. facebook has been relative laggard. regulation will be its number one concern. microsoft in 2000, the last time you saw real antitrust action against big cap tex. that stock was an underperformer for basically a decade. now you have states attorney
general all over the nation filing suit, looking to break up facebook. this will be a number one fear for the stock moving forward and i think a real drag on tech writ large as more of these suits come to fruition. gerry: we have another "fox business alert" now with tesla. tesla reporting fourth quarter results. let's go to lauren simonetti with the numbers. lauren. lauren: this is a miss on the bottom line. adjusted eps falling short. came in at 80 cents a share. meanwhile revenue stronger than expected, $10.74 billion in the fourth quarter. so you have a mixed bag there in terms of overall earnings. the stock also getting hit pretty hard down about 5%. i continue to go through this, gerry. tesla has cash on hand. it increased to $19.4 billion in the quarter. there, they say they're expecting this year for their annual growth in vehicle deliveries of more than 50%.
but still, the stock is getting punished right now, actually down almost 6%, gerry. gerry: i think it is up, if i'm right, lauren, before today it was doubled since, literally, just over 100% from the third quarter numbers. so it is not exactly -- elon musk may be crying into a few billion dollars of losses to night. he still is a very, very rich man. let's bring back the panel. lance, what do you make of those tesla numbers? >> i think maybe we're looking at investment into infrastructure and verticallization of their business. tesla doesn't really rely on partners for parts and developing new battery technology. they really like to control things and sort of ride their ownership away from the rest of the automotive industry. in these numbers, especially on the revenue side sound really good. the growth side sounds good. they're hitting numbers as far as production. i think that their outlook is
actually bright. the model 3, the model y, the semi that might arrive this year, i don't care about the cyber truck. this will be a tiny blip. not look like a huge spring quarter, nobody ever does but they're going into 2021 stronger than many. gerry: dion, lands says we have pretty good revenue numbers, the earnings were obviously down. i haven't had a chance to go through that what explains that discrepancy, as lauren said they're expecting a another big surge in delivery this is year. deliveries is forward-looking indicator which is so important for them. what is going on there? why do you think the profitability down? is it special factors? is there something, something more structural going on? >> tesla has done a lot of investment. they have done a lot of expansion. they worked to push forward the cyber truck, the semi as we talked a little earlier at the end of the day, tesla, the stock
is not but whether they hit their numbers right on the nose or whether they go up or down. it's a big miss or a big overdelivery what wall street expected that will move the stock significantly. five or 6% in tesla. we have to remember this stock is up, 6, 7, 800% from where it was a year ago. you talked about it is up 100% since the third quarter numbers were revealed. 5% in the course when you think about it like that, not much. again what is going to really move the stock is the big vision of elon musk, whether he is able to continue to convince people the story of tesla is there. they will do innovation. they will bring the ev market to more than 2% of the total vehicle market, things like that. as long as they're not missing woefully on these profit numbers i think the street will be all right. i think you will see folks come into the market to buy the dip on tesla tomorrow. gerry: carlton, thoughts on tesla? >> what dion said, perspective
on after-hours trading. the numbers might be pressured as the company continues to invest in itself. the projected deliveries there is lot of hope in that. it seems like they will hit the number wall street is hoping for, wall street, they have the big number, whisper number, higher number they want if they're just meeting expectations that may be upsetting the stock too. gerry: lauren, i didn't see the numbers specifically, lauren said, jonathan, 50% increase in deliveries. they're around half a million when they were in 2020. that suggests, that is off, off an already, you know, significantly elevated base. so that does look like pretty good for them going forward? >> that was their guidance, half a million deliveries. a lot of that demand coming from china as well. we'll dig into those numbers as well. the thing to keep in mind, gerry, especially now, when you buy tesla, valuation, extended valuation.
it has been added to the s&p 500. it reminds back in 1999 a stock by the name of cisco which is trading at high valuation. 20 years later cisco has not reached the 1999-2,000 high even though the company makes more and more money. as you mentioned margins will decrease. that is worries about tesla, as they make money, the stock will fall because the valuation is so stretched at this level. gerry: thanks all. apple earnings, they're on deck, in a few minutes the tech giants will report its high-stakes earnings and we'll bring you the numbers here first. they could of course impact your wallet tomorrow. stay with us. ♪.
to decline, falling more than 17% in the last three weeks. newly reported cases remain well off the recent peaks but health expert warning that new highly transmissible variants of the virus could make the gains short-lived. on the vaccine front meanwhile the cdc says more than 19 million americans received the first dose of a vaccine but states are still struggling apparently with supply. grady trimble is in grazelake, illinois, with more how states are responding. reporter: gerry, that is the biggest challenge they're facing here. this is a mass vaccination site, you book your appointment online, you show up at the appointment line, they bring in 20 cars to the fairground facility. they vaccinate the folks and send them on their way. governor jp pritzker, the governor of illinois was touring the facility today. he touched on the challenges they're facing with supply. listen. >> at the whim of the manufacturers and the ability of
the new administration to ramp up the manufacturers production capability with the defense production act. whatever people were thinking they could think a little bit earlier than they had originally thought. but this is going to take time. reporter: mark is with this county's department of public health and, so, you're experiencing these challenges yourself in terms of the limited supply but you're doing the best you can at facilities like this, just quickly. >> right. this is one example of one site that we're having. so we have to have vaccine for this site. we're pushing vaccine to large corporations trying to also to vaccinate their employees. reporter: gerry, heartening to see the people getting vaccinated, a little bit frustrating. the answer is out there. there is not enough of it. gerry: thank you very much, grady. a few minutes from now apple is set to report its first-quarter earnings in what could be its most profitable quarter ever.
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>> expected to be 100 billion-dollars in revenue, all-time high for apple. almost a perfect storm, gerry. everyone home on their devices. even young people, for example, needing to refresh those devices to go back to school. we'll keep an eye on all of that. what i fear you could see a bit of what they call buy the rumor, sell the fact action. apple was up 82% last year. gerry: numbers are out. susan li. reporter: record quarter for the world's biggest quarter. made 111 billion-dollars in the shopping period of 2020. earnings and profits coming out way ahead of estimates after buck 68. analysts were calling for a buck 41. let's talk about the individual business segments, apple told us it was double-digit growth in each product category. all-time highs and records there, iphone, huge quarter for iphone sales. 65 1/2 billion. that is increase of 17%. ipad did very well as well.
8 1/2 billion. same thing for mac. similar number. wearables, this is fortune 20 of its own. that accessory had 12.9 billion in the three months of quarter. services came out ahead, 15.761. a huge quarter for apple services and for sales as a whole. in terms of install base a record number of active iphones out there of over a billion. i also got off the phone with tim cook. here is what he told me about the quarter. he said we saw some strong double digits in each product categories. we set all-time records, iphone wearables, home accessory services, a new december quarter record format. we achieved double-digit growth. all-time records in each of the 5g graphic segments. that was across the board. for apple services, i have mentioned record number last three months. record performance, strong
double-digit growth in the app store. apple music. cloud services. all-time record in apple care. the new services are also contributing to nicely to overall services, apple tv plus, apple arcade, apple news plus, apple card. at the very end of the quarter apple fitness being introduced as well. apple one which is unbundling of all services together for one price a month. it got off to a very good start. they have 620 million paid subscriptions across the service china growth, we know china will sell 5g phones for the end, holiday shopping period of 20620. particular in tim cook, very strong. the data sheets in china grew 50% year over year powered by the iphone, obviously key. other products did well. what about the covid impact? i asked them how they're dealing with covid-19? clearly he says impacting in the u.s. impacting us in europe, in terms
of china, not as much of an impact. i would say asia in general is very minimal impact. primarily the americas, not just the u.s. but entire americas and europe. when i asked him about the u.s. economy and his outlook where we are, the trajectory whether or not we need more stimulus, tim cook says i think it would be a smart move to increase stimulus. add another round of checks on bipartisan agreement on a stimulus pandemic. i'm optimistic once we get out of the pandemic the economy will grow nicely. i asked him about cash levels. when i asked him about inclusive debt an cash levels, $194 billion for one company. that is slight increase, an uptick from the final three months of last year. i asked him when will you get back to work, back to the head office? he said we are holding june. we're asking ourselves whether that is the right date or not. it heavily depends on the vaccine and distribution of the vaccine. so we'll see. we could possibly wind up being a little later but somewhere in
the june ballpark. overall as you see the world's biggest company, again, looks like they have delivered on their first 100 billion-dollar revenue quarter. gerry: susan, thank you very much. stay with us as we bring back our panel. we were expecting a blowout. carlton, come to you, they beat heavily on earnings, eps, you heard susan run by segment by segment, geography by geography. is there anything at all of concern for apple investors? >> i can't say there to be is to be honest. when you look at apple they're meeting every single need that households and businesses have. the mac has the apple processors. we're buying more devices for homes. iphones, the 5g rollout that will be huge over the next few years. susan said, not quite as much in the u.s. that is coming soon. in china they're seeing that growth.
the wearables devices. we're home a little bit more now. we're trying to monitor our health. that sort of thing. right now i'm not seeing a ton to be concerned about. i believe she said that tim cook was saying more stimulus would be good. that certainly is the case for the broader economy. i guess it would help apple a little bit. but i think speaking more broadly about what the u.s. economy needs. gerry: di. in. sounded like services which is area everybody is looking at, small part of total revenues but growing. looks like they had a good, susan explained we had good number on services. that is a big area of growth for them. what did you make of the results? >> i think only thing to be concerned about here if you're apple stockholder, there is not enough short interest in the stock to drive up the price. i'm kidding about that. gerry: don't give ideas, don't give ideas to those reddit groups. that is the last thing we need. >> not enough short sellers in apple. short sellers have gotten out that might hurt their stock
price if anything. big blowout numbers here. apple is doing exactly what they wanted to you do. get you locked in the iphone, two year contract. get you on the services. opening up a bunch of new industries there. get you attracted on wearables, apple ecosystem, your family, friends, everybody is on the apple ecosystem. you don't want to interact with anybody not in the ecosystem that what they're doing with the iphone 12, iphone 12 mini, and iphone x. the processors apple is making themselves now instead of working with intel. they drawn this up beautifully, but clearly it worked. the biggest number, 5% increase in china -- 57% increase in china, apple selling big where the pandemic locked down businesses and forced closures and people in their homes. it is also working overseas in places like china, taiwan,
korea, people are not going outside living prepandemic lives. you have to be feeling pretty good. it means you won't get that big reddit bump which is quite a shame. gerry: probably quite happy where they are. lance, it's a fortress after balance sheet too. susan said $150 billion cash. reporter: 194 billion. 194 billion. gerry: 194 billion, sorry. 194 billion cash. always a lot of attention always paid to apple's balance sheet, buybacks, possibility what they will do, expand acquisitions. what is your reaction? >> look, there is just, i'm blown away by these numbers but when we look at the amount of cash that they have, areas they want to really grow, maybe they pour some of that money into more production for apple tv plus because it's an area i know you can't really see that well inside of the service numbers to see where the numbers are going. we know apple music, icloud,
apple care, things like that drive a lot of it. tv plus, people are not paying for it. if they want to be in a good position rest of this year, going into next year, they need to pour more money into production to compete with netflix. not that they have to be in a rush. apple is in a fantastic position. so many good things about the report. i know that earlier we heard somebody said something about 5g, it is not really a big deal in america an apple comes out with all the 5g phones. people don't care. they wanted the new apple phones. they wanted redesign. the future will prove 5g as it rolls out. cachet of apple, quality of design and products really drove the day and drove these earnings. people still just love apple products. gerry: jonathan, briefly, they keep bringing out, can they keep doing this? is there no end to a new iphone every year? that seems to be a big driver of their revenue and earnings?
we talked about other things they can do but can they keep delivering like this? >> as long as they innovate. 15, 20 years ago, it wasn't apple we were talking about, it was sun microsystems, oracle and others. apple ability to stay on top depends on their ability to innovate. the stock is up 82% last year. it is down on these blowout numbers. what does apple mean to me? the stock is 6% of the s&p 500. it is so widely owned in everyone's index fund and 401(k). as apple goes so foes the market despite the great earnings report it is down after the bell. gerry: susan, very quickly, you spoke to tim cook, any indications anything at all on the horizon a concern for him? susan: no, it sounds like it was a fantastic quarter as numbers prove it. 111 billion when it comes to sales. all-time record. double digits. growth in wearables, and they
know services they're trying to grow in a stagnating iphone sales, and in that category you saw services growing pretty healthily in services. we expected and they had to put in a huge quarter which they did. i think they kind of missed market expectations. we'll see what else they say on the earnings call in just a bit, we got all the results we'll get from those three big tech giants, apple, tesla, facebook. slightly mixed picture. apple beating heavily on earnings and revenue. facebook doing well. tesla a little bit after surprise. what is the big takeaway, quickly go around. takeaway on the tech results. karl ton with you. >> we spoke with microsoft, look at companies leading moment right now that would be apple, microsoft absolutely. facebook, it will have a little bit more after tougher time especially if it is worried about the ad revenue growth over
the next year. gerry: jonathan, we obviously have alphabet and amazon to come i think next week that is. the tech sector has had a banner year. it has been a horrible year for almost everybody in the world except obviously for these big tech companies. there are questions obviously arise from that just how big they are and whether they can continue to be allowed to be that bag. >> banner year and banner five years for companies. when we see the big tech companies fall because of antitrust or the fact they come so far so fast. we'll see whether small caps, internationals what sectors of the market can pick up the slack if big tech does not. gerry: deion, they are under political pressure. facebook politically, to lister extent facebook and google, they are facing political pressure, possibly even breakup with actions coming from states attorney general and ftc from
facebook, that now the biggest issue you think, sheer scale an success of these companies, that will now be the biggest question mark over them next year or so? >> people have to come up with a reason to worry because if you don't, you look out at the landscape and you think what's to stop these stocks from continuing to go up and up. the companies continuing to deliver, apple delivered 111 billion-dollar quarter just now. again there will be regulatory issues they will have to deal with. but as we look at the history of regulation, just what we've seen from our current makeup of congress, they can agree on very little. they can do even less when it comes to taking action. i don't think there is very realistic threat we can break up something like facebook or break up something like google in the future. it will have significantly negative impact on values of companies, therefore the share price. i don't see it right now, i look what is happening in congress. things could change, right now i really just think the worry has
to be complacency, worry lack of innovation. maybe companies get fat and lazy. i don't see regulators in congress taking significant action that is going to weaken these companies. i don't see it. gerry: susan? susan: you wonder how much is priced into the stocks that we're trading at record levels. apple as i mentioned to you, monstrous quarter and market is trading like it as platformance and it's not. i wonder going the rest of 2021 what has been priced in. how do you outperform with the high expectations and high bars put in. gerry: lance, give you the final word on just these tech numbers overall. again, big numbers. they continue to grow at extraordinary rates. investors are getting well-rewarded. what is, how long can we expect that to continue? >> look, my takeaway is that you know, these numbers, which are good in my mind, all prove that technology has become the cartilage and muscles that are holding this country, this
society together. what we're see devoted to it. that will not end in 2021. we'll continue to see these companies perform well but it those uncertainties. it es request about regulation. it is questions about infrastructure. look at something like tesla does it have better infrastructure to help drive ev going forward especially because the biden administration wants to leave behind fossil fuels. a lot of questions for each one of these companies, society, people continue to use them in great numbers and they will probably continue to do well throughout 2021. gerry: yes, we're all more tech dependent than ever before. thank you very much all of you. we'll be right back. ♪ g get a hobby. you should meditate. eat crunchy foods.
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gerry: biden administration clearing the path to what they call a clean energy revolution. >> today is climate day at the white house and which means that today is jobs day at the white house. summarize this executive order, it is about jobs, good-paying union jobs. it's about workers, building our economy back better than before. it's a whole of government approach to put climate change at the center of our domestic,
national security and foreign policy. gerry: president joe biden there signing more executive orders this time to hold oil and gas leasing on federal land and waters and telling federal agencies to eliminate what he calls fossil fuel subsidies. we have daniel turner, power the future, a organization that advocates for american energy jobs. daniel, thanks for joining us. this is a clean energy revolution, getting rid of all the terrible subsidies for the terrible fossil fuel industries, what do you make of it? >> this is a bunch of worth smithing by a savvy politician. joe biden ran on promises not banning fracking. we're seeing a fracking ban. he talked through ohio and pennsylvania how much he respected industry. kamala harris did exact same thing but they're reversing their position on this that is not surprising. he is from the administration that told us if you like your
doctor, you keep your doctor. he is comfortable with a lie like many politicians. the fossil fuel industry is critical to our economy, our national security and employs millions of people. he says this is about jobs. if you were one of the thousands of keystone pipeline workers the other day where is your job? i don't want to hear a promise. i don't want to hear a pledge. i want to know how they survive right now. no more lies from another politician, daniel, i noticed he talked a lot about jobs. i suspicious when politicians make a emphasis on something, maybe they know they're not on solid ground. i heard john kerry i think it was talking about how, people who work in extraction industries are going to be retrained in, you know, solar panels and various other things. it sounds like, a wonderful idea but in practice this is going to as you say, is going to mean a net loss of jobs, right? >> it really is.
it is this bizarre, this bizarre centralization, collect i havism at the state level. who do these people think they are to say, you know what? we'll make you become a solar panel technician? do they have a right in what job they get from washington, d.c.? do they have a right to find a job that fits their skill set or their dignity or their community? john kerry, joe biden they talk about these people in some ethereal terms. we'll find something else for them to do. as pete buttigieg said, we're eager for them to find employment. these are not in some distant far off people. they are american citizens. they are brothers and sisters. they live in rural parts of our country and what they do is crucial to our economy. so it is bizarre we talk about them with such distance, with such detachment and with such absolute disgusting, almost socialist centralization, that they're commodities or pawns on a chessboard. gerry: another question mark is over the stated goal of getting the united states to be carbon
neutral by 2035. that is in 14 years time that sounds to put it mildly a little ambitious. >> it is ambitious and also unscientific. you could say it is another political lie and here is why. the amount of coal you need to burn to make solar panels, the amount of coal you need to burn to make the cement and the steel that goes into wind turbines, it doesn't offset the amount of coal you would burn to make electricity. so right off the bat we're still going to need fossil fuels. what are wind turbines made of steel? they're made of steel. where does steel come from? come from minerals that are mined and coal by-products. it's a nonsense of shifting emissions from one place to the other. this idea we're going to be energy neutral or carbon neutral by 2035, it is a bunch of lies. it is obama's shovel-ready jobs. obama's like your doctor, another biden administration continuing lying to american people. gerry: daniel turner that was forthright. we'll keep a very close eye on
♪ muck. gerry: biden administration is one step closer to what it calls its raise the wage act. already struggling restaurants are bracing for the rollout of a federally-enforced $15 minimum wage. that's twice the current level. gerri willis is live from dobbs ferry, new york, with the details. >> reporter: that's right, welcome to rarebit, a gastro pub in westchester county. this is just one of hundreds of restaurants in the that may see a doubling of the federal
minimum wage. yesterday bernie sanders introducing the bill that would double the federal minimum wage, the first increase in ten years. and also it would incentivize the c.o.l.a. when the median wage goes up. big changes for the economy coming on that score. let's speak to scott broccoli, the owner of this fine institution, about the impacts for restauranteurs. scott, you awe this in san francisco when -- saw this in san francisco. what happened? >> well, unfortunately, at that time we had to lay people off, we had to cut hours, and, of course, we had to raise our prices which really was a double whammy and didn't work on either side. and the thing that's more disturbing about this now more than ever is the timing and how we're supposed to deal with this on top of the pan deck im. -- pandemic. >> reporter: scott, thank you for that. as i send it back to you, gerrc,
the congressional budget office saying that doubling the federal minimum wage could cost as many as 1.3 million jobs. back to you. gerry: thanks, gerri. yes, that does seem, and particularly the timing, seems strange for some of these small businesses hit hard by the pandemic. a final look at the big names in tech this hour, apple topped wall street's expectations with its iphone 12 helping to deliver a record 111 billion quarter. facebook beat expectations driven by increased ad spending by businesses to take advantage of an online holiday shipping due to the pandemic, and tesla posted its first full year of profitability for elon musk and his company. well, that's the news from us, that's "after the bell." thank you for watching. ♪ ♪
♪ ♪ lou: good evening, everybody. a massive selloff on wall street driven by weak earnings for boeing and chip processing company amd and why would speck thattive trading -- speculative trading on gamestop and amc and a number of other stocks little known and now known better than ever before. federal reserve chairman jerome powelled today didn't help the markets much, as is his wont, saying the pandemic is causing economic uncertainty. we didn't the know that, did we? he is always helpful